Hong Kong SFC allows licensed crypto firms to provide staking services
Hong Kong financial authorities have officially allowed crypto firms to provide staking services for customers. However, they must abide by guidelines meant to protect users from associated risks.
According to a notice published by the Securities and Futures Commission on April 7, crypto firms operating in the region that hold a virtual asset trading platforms license may offer staking services. Though, they must take necessary measures to protect customers and fully disclose the potential risks associated with staking virtual assets.
Staking allows customers to generate yield through their crypto holdings. This is done through “locking up” the crypto asset for a certain period of time and accumulating interest…
